Gauteng High Court: NSFAS Board Reinstatement Ordered

• The Gauteng High Court ordered Minister Buti Manamela to reinstate seven NSFAS board members, citing procedural flaws in their dismissal.
• The court's ruling, dated August 14, 2026, also described the conduct of suspended administrator Hlengani Mathebula as "bizarre."
• Following the court's decision, Minister Manamela appointed advocate Richardt Tlou Ramashia as interim chairperson and reinstated Waseem Carrim as acting CEO on September 11.
• The Economic Freedom Fighters (EFF) announced a march for September 18, demanding Manamela's resignation over the "mess-up" at NSFAS and ongoing student issues.
• The court's intervention highlights the critical importance of strict adherence to administrative law in public entity governance.

Lawyers advising government departments or public sector clients should note the Gauteng High Court's willingness to intervene and overturn procedurally flawed ministerial decisions.

The Gauteng High Court has issued a significant ruling, ordering Higher Education Minister Buti Manamela to reinstate seven board members of the National Student Financial Aid Scheme (NSFAS). This judicial directive, dated August 14, 2026, came after the court identified procedural flaws in the Minister's actions concerning their dismissal.

The court's judgment also cast a critical light on the conduct of Hlengani Mathebula, who had been appointed as an administrator for NSFAS. Mathebula's actions were explicitly labelled as "bizarre" by the court, highlighting serious concerns regarding the administrative processes that led to the board members' removal. The dismissals occurred during the period when Mathebula was appointed to oversee the financial aid scheme.

In the wake of the adverse court ruling, Minister Manamela engaged directly with the NSFAS board. On September 11, he announced several key appointments aimed at stabilizing the institution's leadership. Advocate Richardt Tlou Ramashia was named as the interim chairperson, stepping into a crucial leadership role.

Simultaneously, Waseem Carrim was reinstated as the acting Chief Executive Officer. Carrim had previously been recommended for the CEO position by the board, a process which the board itself claimed had been stalled due to "political interference" from Minister Manamela. The Minister stated that these administrative adjustments were made "to provide NSFAS with stable governance" following the court's intervention.

This Gauteng High Court NSFAS board reinstatement order underscores the critical importance of strict adherence to administrative law and proper governance procedures for public entities in South Africa. The court's finding of "procedural flaws" in Minister Manamela's administrative actions serves as a stark reminder that ministerial decisions regarding board appointments and dismissals are subject to judicial oversight and must comply with established legal frameworks.

Lawyers advising government departments or public sector clients should note the Gauteng High Court's willingness to intervene and overturn procedurally flawed ministerial decisions. This ruling highlights a clear legal risk for non-compliant actions, reinforcing the necessity for robust administrative processes in the management of public institutions and signaling a significant development in the ongoing NSFAS governance legal challenge.

The Economic Freedom Fighters (EFF) have responded to the ongoing situation by demanding Minister Buti Manamela's resignation. The political party has announced plans for a march to the Higher Education and Training ministry's Pretoria offices on September 18, citing what they describe as a "mess-up" at NSFAS as the primary catalyst for their demonstration.

EFF MP Sihle Lonzi articulated the party's position, asserting that the Minister's recent reversals do not mitigate the damage already inflicted. Lonzi highlighted a range of pressing issues affecting students, including defunding, challenges with student accommodation, the emergence of middleman schemes, and evictions. The MP also noted Minister Manamela's frequent retort that he is "not the minister of NSFAS," a statement that, according to Lonzi, fails to address the gravity of the problems.

This development highlights the critical importance of strict adherence to administrative law and proper governance procedures for public entities in South Africa. Lawyers advising government departments or public sector clients should note the Gauteng High Court's willingness to intervene and overturn procedurally flawed ministerial decisions regarding board appointments and dismissals, indicating a clear legal risk for non-compliant actions.

Source: Original reporting via AllAfrica